Kwv Wines Shareholer's Report Marina Ulkar Jimmy Essay

Words: 957
Pages: 4



KWV is one of the most famous and leading “wine and spirits” producing company in South
Africa. Founded in 1918 as a winemaking co-operative, by wine makers from the Western
Cape in South Africa. Today it is well-known global brand producing wine and spirits with a rich historical background and large variety of high quality wine.

The main competitors of KWV are:
● Distell
● Klein
● Simonsig
All of them are situated in South Africa but they distribute globally. However, there are a lot of differences in price, quality and beverage range. In positioning maps below we show differences between these rivals. The
…show more content…
The UK does not produce wine and therefore does not need to defend any national industry. Wine that

succeeds here will be noticed elsewhere in the world. For all of these reasons,
Differentiation strategy in the UK still needs to be refined as there is not a lot of bargaining powers with the local retailers. Cost-efficiencies still remain of utmost importance. 

Like most BRICS countries, China’s economic growth during the 1990 up until today is impressive (Schrooten,2011). In China, emerging middle-class, will account for 12% of the population, resulting in 12 million potential customers who will able to afford our wines
(Eliot, 2015 FT). The strategy in the purchasing of a bottle company in China will result in better Cost-efficiencies and a more dynamic pricing strategy for the SEA countries. Through
Strategic alliances; China’s economic growth has slowed down to its weakest level in 24 years, it is still at a healthy 7.4%. The country’s retail sales and factory output also show beat market expectations (BBC, 2015). Marketing and improving the wine knowledge in the SEA markets will affect the purchasing decisions (Lietal, 2011).